Public Choice

, Volume 106, Issue 1–2, pp 53–76 | Cite as

Productivity Growth and the Political Economy of Social Security

  • Berthold U. Wigger


The present paper provides an analysis of unfunded social securityas the outcome of a public decision making process in an endogenousgrowth economy. It employs a model in which there is a non-monotonic relationship beween productivity growth and the scale ofpublic intergenerational redistribution. The paper shows thatalthough unfunded social security need not harm growth in general,it is likely to harm growth in a democracy. This effect isreinforced by population aging.


Population Aging Social Security Political Economy Public Finance Productivity Growth 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.


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Copyright information

© Kluwer Academic Publishers 2001

Authors and Affiliations

  • Berthold U. Wigger
    • 1
  1. 1.Department of EconomicsUniversity of MannheimMannheimGermany

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